Critical Survey: Getinge (OTCMKTS:GNGBY) versus PACS Group (NYSE:PACS)

PACS Group (NYSE:PACS) and Getinge (OTCMKTS:GNGBY) are both mid-cap healthcare companies, but which is the superior business? We will contrast the two businesses based on the strength of their profitability, dividends, institutional ownership, risk, valuation, earnings and analyst recommendations.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for PACS Group and Getinge, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PACS Group	0	2	5	0	2.71
Getinge	0	3	0	0	2.00

PACS Group presently has a consensus target price of $58.80, indicating a potential upside of 38.66%. Given PACS Group’s stronger consensus rating and higher probable upside, research analysts plainly believe PACS Group is more favorable than Getinge.

Profitability

This table compares PACS Group and Getinge’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PACS Group	4.85%	29.55%	5.23%
Getinge	7.81%	11.12%	5.88%

Earnings & Valuation

This table compares PACS Group and Getinge”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PACS Group	$5.29 billion	1.27	$191.54 million	$1.72	24.65
Getinge	$3.57 billion	1.82	$230.87 million	$1.05	22.79

Getinge has lower revenue, but higher earnings than PACS Group. Getinge is trading at a lower price-to-earnings ratio than PACS Group, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

PACS Group has a beta of -0.13, suggesting that its stock price is 113% less volatile than the S&P 500. Comparatively, Getinge has a beta of 0.93, suggesting that its stock price is 7% less volatile than the S&P 500.

Summary

PACS Group beats Getinge on 7 of the 12 factors compared between the two stocks.

About PACS Group

PACS Group, Inc., through its subsidiaries, operates skilled nursing facilities and assisted living facilities in the United States. The company also provides senior care and independent facilities. It engages in the acquisition, ownership, and leasing of health care-related properties. The company was founded in 2013 and is based in Farmington, Utah.

About Getinge

Getinge AB (publ) provides products and solutions for operating rooms, intensive-care units, and sterilization departments. The company operates through Acute Care Therapies, Life Science, and Surgical Workflows segments. It offers extracorporeal membrane oxygenation, mechanical ventilation, mechanical circulatory support, advanced patient monitoring, ICU infrastructure equipment, patient flow management, and drainage solutions. The company also provides surgical perfusion, endoscopic vessel harvesting, intra-aortic balloon counterpulsation, and drainage solutions; and operating room infrastructure equipment, anesthesia, advanced patient monitoring, operating room management, and operating room integration solutions. In addition, it offers pre-cleaning, cleaning and disinfection, sterilization, consumables, endoscope reprocessing, and sterile supply management solutions; connected medical devices; bioreactor systems, DPTE systems, Getinge isolators, terminal sterilization products, and sterilizers; and vivarium, biohazardous materials handling solutions, labware cleaning and sterilization, upstream bioprocessing, and bioreactor preparation solutions. It offers its products through a network of sales companies, as well as through agents and distributors in the Americas, Europe, the Middle East, Africa, and the Asia and Pacific. Getinge AB (publ) was founded in 1904 and is headquartered in Gothenburg, Sweden.